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GOP makes offer Obama can refuse

POLITICO “Behind the Curtain”

But the finance industry insists it can make nice with its one-time nemesis.

It appears they’ll have no other choice: The Democratic caucus still has to finalize the committee makeup for the next Congress, but Warren’s official ascent to the Banking panel is expected to be only a formality.

Senate Democratic leaders have picked her to fill one of the panel’s open spots, a Democratic source with knowledge of the situation said Tuesday.

Upon taking a seat on the panel, the Democratic senator-elect from Massachusetts will immediately become one of the panel’s harshest critics of the financial industry, having campaigned as a populist champion who would crack down on big banks.

Warren was the architect of the Consumer Financial Protection Bureau, a key liberal priority in Wall Street reform but a major sticking point for Republicans and the banking industry. Warren appeared in line to be the bureau’s first director, having worked for a year to set it up, but her path to the post was blocked by Republican Senate opposition.

Warren — now with a Senate seat, a key committee perch and a loyal liberal following from her time on the campaign trail — appears well positioned to take on the industry she made her national reputation criticizing.

But industry leaders say they’re not bracing for battle, insisting that far from fearing Warren, they’re confident they’ll have a productive relationship with the new senator.

“I think the fear of her is overblown,” said Scott Talbott, the senior vice president for government affairs at the Financial Services Roundtable — a Washington-based lobby for large financial that is led by former Minnesota Republican Gov. Tim Pawlenty.

“I’m not worried about working with her,” Talbott said. “I’ve worked with her and her staff for a long time. So it’s a comfortable relationship, and there’s a lot of things we actually agree upon. And where we don’t agree, she keeps an open door.”

While Warren’s rhetoric on the campaign trail scorched Wall Street, she had a much more cordial relationship with the banking industry while she was setting up the consumer bureau for the Obama administration between July 2010 and August 2011.

“She’s earned her stripes,” said Richard Hunt, president of the Consumer Bankers Association. “She’s passionate about banking and consumers and so are we. We welcome the debate. I’d rather have her inside the tent than throwing grenades from afar.”

Industry officials are denying rumors, which percolated among liberals, that they lobbied Democratic leadership to keep Warren off the panel saying why would they waste their time trying to prevent the inevitable..

Ironic that the GOP who blocked her nomination to head the Consumer Protection Bureau lost their Senate seat in Mass. to her and now she is back as Senator Warren on the Banking Committee. The GOP are opposing Rice as Secty. of state hoping to promote Sen. Kerry instead and to push for Brown again in Mass. to fill the seat that Kerry would vacate. The GOP lucked out in 2010 with Brown who damaged himself in his bruising run against Warren in a state dominated by the Democrats. The GOP are losing their grip as they are on the wrong side of demographics and have historically NEVER represented the working class who have been shafted by their trickle-down economics that made the rich richer while the Middle Class shrank by 25% and wages for the 99% stagnated.

More evidence of Wall Street Bankers short sightedness in action, Elizabeth Warren. Observe the short sightedness in action.

-Wall Street Bankers screw up the economy so badly the banking sector needs bailed out by the government. Wall Street Bankers fight against new banking reforms pushed by Elizabeth Warren, and fail.

-The new consumer financial protection agency, thought up by Warren, is created. Wall Street Bankers, desperate to avoid being regulated by someone who's not in their pocket get their bought off congressmen to filibuster Elizabeth Warren's appointment to the panel, and succeeded. Had Warren been appointed she likely would have served for no more then 6 years, then left with Obama in 2016.

-Elizabeth Warren gets encouraged by anti-Wall Street liberals to run for the senate in ultra blue Massachusetts. Wall Street Bankers try and fail to stop her. As a senator of relatively young age (for the senate) from an ultra blue state, Elizabeth Warren will now likely be around for several decades to make life hell for Wall Street Bankers.

Had Wall Street Bankers just let Warren run her own Consumer Financial Protection agency Warren would have very likely been out of their hair after 2016, and there wouldn't have been anywhere near as much energy for her to run for the senate if there was suddenly an open senate seat after that.

Honestly, without the energy from the liberal base and the anger at Wall Street Bankers keeping Warren off her consumer agency, I doubt Warren would have ever run for the senate in the first place. I bet Warren only got the idea after the base started to push her to run once it was clear she wasn't getting voted in as the head of the agency, and other top democratic politicians realized "hey Warren could be a great candidate if we can convince her to run".

ocean515 - "Of course, as any knowledgable Progressive knows, creating agencies that are unanswerable to voters is one of the key tenents of the Progressive Agenda, where the people serve the Government."

The CFPB is set up by Congress, and subject to congressional oversight, and it is part of the Treasury. Since both the administration and the congress are "answerable" to the American people, your statement is totally wrong.

And consumer protection is about as non-controversial an "agenda" as you can find. They do things like make credit card statements easier to read, for example. I get the feeling that it doesn't matter what the government does, however non threatening and beneficial, conservatives will jerk their collective knees in response.

nudnik - "Politics make strange bedfellows. The Tea Party should get behind her push to reinstate Glass-Steagall."

They are political idiots since they can't see past the "Democrat" party label. It's personal, not practical for them. TEA Party folks have NO business in politics since they don't know how to play.

If they want to know whether Warren will stand up to Wall Street, they need look no farther than the ends to which Wall Street has gone to stop her from getting this far. She's the real deal, she understands what they are up to, and we need her as a cop on the beat. Finally someone on the banking committee that will not just roll over.

Ocean 515: "Warren was the architect of the Consumer Financial Protection Bureau, Of course, as any knowledgable Progressive knows, creating agencies that are unanswerable to voters is one of the key tenents of the Progressive Agenda, where the people serve the Government. Warren will be one more bit of stuff to clean up after the Progressive Fad runs it's course. What happens when the money you demand doesn't show up?" _______________________________________________ What happens when you do your homework and realize everything you say is incorrect? This is much much better than the Romney administration would have been, where we all serve the 1% I love how non-millionaires support the Republicans, who could care less about 99% of us.

The CFPB is set up by Congress, and subject to congressional oversight, and it is part of the Treasury. Since both the administration and the congress are "answerable" to the American people, your statement is totally wrong.

It's absolutely correct jh. There is nothing the Congress can do, other than effect funding to CFPB.

That's the whole reason Republicans objected to the Progressive approach that created the CFPB. That is why they held up approving the hand picked czar to run it, and that is why the President used a recess appointment to unleash it on the citizens.

This super agency is headed by a Presidential appointee, and is capable of establishing regulatory monetary policies that will impact every citizen in this country. And there is nothing that can be done to stop those regulations other than to defund the agency.

Sorry jh, but that is a fact. And it is part of the Progressive agenda.

Unlike the GOP in the House who put creationists on Science panels, or Bachmann on Intelligence, The democratic party in the Senate actually puts people who are qualified to be on a particular committee.

Elizabeth Warren is for the majority of Americans - the plutocrats hate her.

ocean515- "That's the whole reason Republicans objected to the Progressive approach that created the CFPB. That is why they held up approving the hand picked czar to run it, and that is why the President used a recess appointment to unleash it on the citizens."

Super agency! It's not even an agency, it's part of the treasury. It has no seat in the cabinet. Laughable. I don't used that word often, but it applies in this case. Anyone watching this knows why the CFPB was opposed by Republicans: because Wall Street and the financial community opposes it, because consumer protection cuts into their bottom line since it runs the risk of keeping them from screwing the rubes out of their money. It's that simple.

The President had to use the appointment because Republicans refused to allow the Senate to perform its advise and consent duty. They actually said they would appoint NO ONE to the office until the law, duly passed by Congress was changed.

Absolutely unacceptable behavior, totally contrary to the rule of law.

How someone as intelligent as you cannot see what is so painfully obvious, I have no idea.

What happens when you do your homework and realize everything you say is incorrect? This is much much better than the Romney administration would have been, where we all serve the 1% I love how non-millionaires support the Republicans, who could care less about 99% of us.

Hey Brook, in case you slither back from your 99% hole, here is a little cut and paste from the following link:

124 Stat. 1376) (Dodd-Frank Act), the CFPB has rulemaking, supervisory, enforcement, and other authorities relating to consumer financial products and services. These authorities include the ability to issue regulations under more than a dozen Federal consumer financial laws, which transferred to the CFPB from seven Federal agencies on July 21, 2011. The CFPB is working on a wide range of initiatives to address issues in markets for consumer financial products and services that are not reflected in this notice because the Unified Agenda is limited to rulemaking activities.

The Bureau of Consumer Financial Protection (CFPB) was established as an independent bureau of the Federal Reserve System by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Pub. L. 111-203, 124 Stat. 1376) (Dodd-Frank Act). Pursuant to the Act, the CFPB has rulemaking, supervisory, enforcement, and other authorities relating to consumer financial products and services. Among these are the consumer financial protection authorities that transferred to the CPFB from seven Federal agencies on the designated transfer date, July 21, 2011. These authorities include the ability to issue regulations under more than a dozen Federal consumer financial laws.

How does that description make it more "super" than any other part of the treasury? You're defining it as "super" by giving an isolated description of it. How does it compare to say, the SEC, the Treasury Department, the OTS, the IRS?

Exactly how super is it?

These agencies don't have any more power than Congress gives them. They write rules and have enforcement powers granted by Congress. They are answerable to Congress and if they stop acting in the public interest, it is congress that will hold hearings and hold the agency accountable.

Among these are the consumer financial protection authorities that transferred to the CPFB from seven Federal agencies on the designated transfer date, July 21, 2011. These authorities include the ability to issue regulations under more than a dozen Federal consumer financial laws.

Come on jh. Let me present this line again. Note the underlined/bold section:

Among these are the consumer financial protection authorities that transferred to the CPFB from seven Federal agencies on the designated transfer date, July 21, 2011. These authorities include the ability to issue regulations under more than a dozen Federal consumer financial laws.

What once was overseen by SEVEN Federal Agencies, is now the sole venue of ONE.

I'm not sure how you define things in your life, but that pretty much pegs the SUPER AGENCY definition.

The CFPM, as stated in their own words, has regulatory jurisdiction, by act of Congress, over " rulemaking, supervisory, enforcement, and other authorities relating to consumer financial products and services."

That means credit cards, student loans, mortgages, etc, etc.

Every form of consumer financial product and service is now controlled and under the regulatory blessing of the CFPB.

You better hope they do everything you like because short of convincing Congress to turn off the ffunding spigot, there is nothing you can do about it.

Once again thew Marxist loons from Mazzholechusetss have sent yet another far left Marxist to screw up the rest of America.....No wonder Mazzholechusetts is a national laughing stock.... pretty typical of the looney commies in this "State"that sent Bwany Fwank to DC to author the collapse of the global financial system while living in his taxpayer funded homosexual brothel in DC...think I'm gonna puke